Hong Kong is close to proposing a tax regime change that will exempt private equity and potentially hedge fund managers from paying tax on their earnings from carried interest and performance fees.
This exemption will apply at both the corporate and individual tax level, according to a proposal to the Legislative Council on March 2. By applying the exemption to individuals, the city is hoping to lure more asset managers and talent to the financial hub and boost Hong Kong’s status as Asia’s leading asset management center.
Hong Kong has been working